On July 8, according to Jinshi Data, Morgan Stanley economists said that the United States' trade negotiations are moving towards a tactical upgrade. The bank reported that if the latest tariff proposed by the Trump administration in a letter to its trading partners takes effect, the weighted average tariff in Asia will rise to 27%. However, Trump has stated that the United States is about to reach an agreement with India. Morgan Stanley said this indicates that most major Asian economies will be able to reach an agreement before the August 1 deadline. However, Japan and South Korea may not be able to resolve key issues through negotiations. Morgan Stanley said these issues include Japan's auto tariffs and agricultural product issues, and South Korea's auto and steel tariff reduction issues. [Deep Tide TechFlow]